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Industry vet responds to recession
19June 2009
At IBM, Sueltz was CEO Lou Gerstner’s abstruse abettor during Big Blue’s affecting turnaround in the 1990s. After that, she ran the casework analysis at Sun Microsystems for CEO Scott McNealy during the dot-com apprehension from which abounding accept Sun has never absolutely recovered.
But not even the acerbic McNealy could accept adapted up what 56-year-old Sueltz saw in foreground of her two months ago: A PowerPoint accelerate of a blue-shaded, gothic headstone with “R.I.P. Acceptable Times” accounting in red. It was the aboriginal of 56 now-infamous slides acclimated by adventure capitalists at Sequoia Capital in a boxy allocution delivered to the admiral of the companies in which they’d invested.
And if that wasn’t enough, the third slide, a burst pig on a butcher’s block, collection home the point: The abridgement is branch south, rapidly. And if you wish to save your company, you’d bigger acquisition a way to trim the fat. Personally, Sueltz accepted the edgeless message.
“I’ll yield that over a agglomeration of saccharine, bonbon messages,” said Sueltz, now arch controlling of software start-up LogLogic.
Not anybody accepted the aphotic humor, aback if it was cryptic just how bad the abridgement would get. But by now they should accede the Sequoia adventure capitalists had a point. By a lot of measures, the high-tech industry appears headed for one of its abounding busts as the all-around abridgement sinks into recession. Industry analysis firms accept been abasement and abasement their accumulated spending forecasts for 2009. The PC bazaar is in the dumps. E-commerce spending, for the aboriginal time, was down for the aboriginal three weeks of November from the aforementioned aeon a year ago. Even online ad spending, admitting still growing at a advantageous clip, isn’t accepted to aggrandize as rapidly as beforehand forecasts. If you’re not alive for Apple, it seems, these could be the a lot of aggravating times in decades.
For the tech industry, of course, booms and busts are annihilation new. Venture-backed booms accomplish hundreds of start-ups and drive out crumbling companies that are no best innovating. The busts abstracted the weaklings from the survivors, the acute account from, well, the not-so-smart. The PC bang in the 1980s collection out old tech giants like Digital Equipment Corp. and Wang. The PC apprehension circumscribed that industry, just as the dot-com apprehension afar the survivors from the Pets.coms of the world.
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Now? The Web 2.0 amplification of the endure three years is just a abundance compared to added industry expansions, and affluence of start-up advisers are already accident their jobs. But the better affair for the tech industry isn’t overinvestment in start-ups: It’s the all-embracing economy. Taking the air out of the Web 2.0 association acceptable won’t appulse as abounding humans as a individual annular of layoffs at a behemothic like Sun, which afresh appear affairs to cut up to 6,000 jobs. Even advantageous tech bellwethers like Hewlett-Packard are cogent advisers to yield time off afore the end of the year–a hardly added acceptable advantage to layoffs.
Even worse, economists aren’t abiding how continued this recession will last: A few months? A few years? Starting today, CNET News begins a alternation of profiles of humans in assorted technology sectors–from the start-up advisers accepting a ascetic castigation from their investors to the anniversary shoppers in one of the apartment foreclosure epicenters, Modesto, Calif. Their expectations and their agency are generally berserk different, but in a way, they’re in this together: For tech executives, their employees, and even their customers, these are alien amnion because the industry, as we apperceive it today, has never faced this array of bread-and-butter uncertainty.
Saltwater in the face
For Sueltz, active a baby aggregation in bad times is a new experience. She’s been at huge companies in bad times, and responding to problems isn’t simple at companies like IBM and Sun–sort of like axis an aircraft carrier. At a start-up, the challenges are different: it’s like getting in a baby abyssal boat. Every wave, every access of wind, feels like it could invert you.
“But, you know, the best way to accord with it is to get appropriate out in front,” Sueltz said. “Sometimes it’s acceptable to get that abyssal in the face.”
The affable mother of two started her career in the 1970s as a rare, changeable blast pole climber for the old Pacific Blast & Telegraph (some antic that accept to be area she got her abundantly able handshake). Sueltz kiddingly portrays herself as one of the old-timers in tech these days, but there’s little catechism that her decades of acquaintance accept accomplished her what to do in boxy times.
There were affluence of bad canicule at IBM in the aboriginal 1990s. Harder as it may be to brainstorm for adolescent humans now, IBM had the adequacy of a aggregation in a afterlife spiral. Like DEC, losses were mounting, and the aggregation was ill-prepared to attempt with younger, added active competitors. It took Gerstner, an RJR Nabisco controlling with no tech industry experience, to about-face things around. The better assignment for Sueltz during those years alive carefully with Gerstner was authoritative decisions fast, and afraid with them.
At one point, Gerstner laid off added than 200,000 humans in 18 months, Sueltz recalls. No doubt, the appulse was brutal, and old IBM towns like Poughkeepsie in upstate New York accept never absolutely recovered. But the alternative, IBM traveling under, was even worse. “It was a appealing abominable time,” Sueltz said. “But I abstruse from Lou. Swiftness, again, is so important. You accept to be close in what you do.”
Sueltz went to plan for Sun in 1999 and at one point was the controlling amenable for 17,000 advisers in Sun’s casework arm. Few big tech companies were as abominably impacted by the dot-com apprehension as Sun, which grew fat off start-up barter and big banking companies rebuilding their networks for the online world. Unfortunately, if the spending bacchanalia ended, McNealy was apathetic to cut costs. He believed Sun revenues would bound rebound. They didn’t.
Sueltz, who is still accompany with abounding Sun executives, would never in fact accusation her old bang-up for getting an optimist. McNealy, the son of an auto controlling from Detroit, accepted the animal appulse of layoffs, and he believed his company’s greatest asset was its employees, from the engineers in Sun Labs to the sales force. McNealy’s bet angry out to be wrong, but Sueltz accepted that aggravating to be appropriate if you accept to accomplish harder decisions is the atomic an controlling can do.
Microsoft puts data centers
19June 2009
Microsoft is demography its alembic access to abstracts centers a footfall further, authoritative the architecture apartment the abstracts centermost itself a module.
In a blog announcement on Tuesday, Microsoft abundant what the “generation four” abstracts centers will attending like.
“This is a cogent footfall forward, and one that Microsoft believes will adapt how companies body abstracts centers and abutment billow computing,” a Microsoft adumbrative said in a statement.
The bearing four abstraction “builds on the addition at Microsoft’s Chicago abstracts center, which houses shipment containers arranged with up to 2,500 servers each,” the adumbrative said. “A alembic ability helps ensure that we don’t overbuild server capacity, while acceptance the aggregation to abate the time to body a abstracts centermost from 24 to 12 months.”
The new access goes a footfall further, architecture the centermost itself out of prefabricated mechanical, electrical, and aegis components, as able-bodied as the containerized servers. Such accessories can be deployed in just three to six months and broadcast if appeal grows.
Microsoft says the new access will cut basic costs by 20 percent to 40 percent.
“In short, we are appetite to accompany Henry Ford’s Model T branch to the abstracts center,” Microsoft’s Mike Manos said in the blog posting. “We intend to accept our apparatus congenital in factories and again accumulate them in one area (the abstracts centermost site) actual quickly. Think about how a computer, car or even is congenital today.”
For those that are in to abstracts centers, analysis out the blog. it goes into just a ton of detail. I’ve aswell anchored a video that Microsoft did.
Meanwhile, I’m alive on some abstracted posts for this anniversary on some of the vendors that are powering Microsoft’s efforts.
When You Should Say No
18March 2009
Do you use a smarthphone to admission coffer and acclaim agenda accounts? How about accessing Web-based applications at your admired amusing arrangement or Web mail provider? Do you accord your adaptable accessory with your desktop PC or laptop?
If you answered yes to any of these questions, your are active the accident for a aegis 10th Annual Online Fraud Report. Online Payment Fraud Trends, Merchant Practices and Benchmarks. Get your archetype today. breach. What’s that you say? You don’t accept any acute advice that anybody would want? How about your abode book?
Or, how about your log-on information, such as user name and countersign for every Web website you visit. And don’t overlook to cover your annual numbers. These are all awful approved $.25 of abstracts that hackers acquire big bucks to steal. Advice such as bearing dates, Amusing Aegis numbers — even ancestors photos — are all accessible accoutrement for hackers to use as amusing engineering abstracts if searching for a way into your accumulated and bartering networks.
“Whether it’s our PC or our adaptable device, we are advance added of our claimed abstracts to them. The boilerplate user doesn’t accept the admission that can be made,” Ray Dickenson, CTO of aegis software close Authentium, told TechNewsWorld.
Today’s adaptable accessories can be compromised with key-logging programs, bacilli and added approach hackers use to abduct users’ identities, he warned.
Keys to the Kingdom
Even adequately abreast computer users generally abort to apprehend how calmly they can accord up their basic abstracts while appliance a adaptable accessory like a smartphone.
Sometimes accessibility clouds a user’s caution. Take, for instance, applications that users install on their adaptable devices. Innocently beat YES to a alert requesting all admission to the accessory to complete the accession of a hand-held affairs can be a baleful decision.
“In general, users consistently wish to abstain giving permissions. This blazon of appeal does not appear all the time and deserves added scrutiny,” Jackie Gilbert, carnality admiral of articles and business and cofounder of character accident administration close SailPoint, told TechNewsWorld.
An Innocent Request?
Norman Schultz, IT Manager at Cherry Creek Insurance, wasn’t so quick to say yes to all permissions if he installed a video-streaming appliance to his BlackBerry. He contacted the bell-ringer to ask why the app bare abounding permission. The acknowledgment aloft some red flags, so he absitively not to use the program.
“I get just as aflame about new techy being as the next guy, but with contempo aegis issues bustling up, I accomplish it a point to yield just a little added attention if installing something new,” Schultz told TechNewsWorld.
He was afraid to install QIK on his Blackberry but had questions apropos the download plug-in. He wrote to the vendor’s tech abutment email address. He questioned why the absence ambience for the video-streaming affairs capital admission to basically aggregate on his adaptable device.
The account included abounding permission top access, a part of added processes, Interprocess Communication, Accessory Settings Modification, Media Access, Module Management, Theme Abstracts Interjection, User Data, Email/Messaging, PIM, files and key store.
One of the responses he accustomed in a acknowledgment email from QIK tech abutment told him the artefact bare this permission akin to get admission to his filesystem to upload video files to QIK’s servers. Providing all permissions was all-important for the Qik applicant appliance to appropriately operate.
No Thanks
Qik enables reside video casting from a corpuscle buzz via any 3G/GPRS/WiFi Internet connection. The alive appliance acutely reduces the upload time so videos taken with the user’s buzz are accessible in as little as bisected a additional to two abnormal for uploading to YouTube Added about YouTube or embedding on any Web website by artful and pasting bury code, according to the product’s description.
“You know, I don’t apperceive these guys at QIK, and how do I absolutely apperceive how abundant advice from my BlackBerry is accessible if I artlessly ‘allow everything?’ I mean, I accept business and claimed advice in my contacts — a lot of arcane advice — as able-bodied as notes, tasks and on and on,” said Schultz about why he absitively not to use the application.
Users have to be actual accurate about aegis issues, even if the adaptable accessory never connects to the owner’s computer.
“We do cyberbanking affairs with the aforementioned accessories we betrayal to added risks. On a handset that has claimed data, I would never assurance permissions. You never apperceive if the degrees of break will be crossed,” Dickenson said.
Threats Abound
Take, for example, the accepted burning messaging appliance Meebo. It talks to a array of altered clients. It is not aberrant to acquisition means to admission one’s claimed abstracts from a adaptable accessory affiliated to a amusing network, he explained.
Mobile phones and smartphone affectation altered risks. Smartphones acicular in acceptance with the acceptance of BlackBerry accessories and iPhones. Users are award added affidavit to put claimed abstracts on their adaptable devices, abnormally the ones with avant-garde accretion features. If adaptable accessories are synchronized to PCs or with file-sharing casework in the cloud, some admission can attempt aegis of abstracts on both devices.
“We are starting to see added adaptable malware but still not abreast the amount of advance now accustomed on computers,” said Dickenson.
Browser Beware
Any accessory with a Web browser is a abeyant aegis aperture cat-and-mouse to happen. People like accessibility and hardly anticipate to about-face off the congenital WiFi affiliation if it is not needed. WiFi provides an always-on aegis accident if the accessory is set to consistently assurance a arrangement or automatically affix if in range.
Often, there is no exact appropriate acknowledgment as to if users should and should not admission all permissions to adaptable applications, acclaimed Gilbert. In situations that absorb admission to accumulated networks or accessories that accommodate aggregation data, the accommodation usually boils down to accident administration action counterbalanced with aloofness protection.
When the acknowledgment focuses on user or artisan freedoms against accumulated safety, the aggregation should win the debate. Sometimes, that makes an actual appulse on artisan productivity, according to Gilbert.